IRS adding more filters trying to catch business tax fraud
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The IRS is continuing to hone its filters to catch business identity theft and tax fraud, using 84 selection filters last year to identify business tax returns claiming refunds for potential fraud but not always succeeding, according to a new report. 

The report, released Monday by the Treasury Inspector General for Tax Administration, found the filters identified and selected 60,296 business returns for further review as potentially fraudulent. It comes as the IRS has been stepping up its efforts to encourage tax professionals to be on the lookout for signs of data theft by identity thieves (see story).

The federal government has also come under pressure from lawmakers in Congress to do more to catch suspected fraudsters who profited from the COVID-19 pandemic by taking advantage of relief programs like the Paycheck Protection Programs, expanded unemployment insurance, and refundable tax credits.